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Updated almost 2 years ago on . Most recent reply

User Stats

31
Posts
10
Votes
Carol Hopwood
  • Investor
  • Bend, OR
10
Votes |
31
Posts

Is less then half (2.5% of a 6%) commission fair for buyers agent?

Carol Hopwood
  • Investor
  • Bend, OR
Posted

Before I sign the listing contract to sell our small MF property I'd love to get your opinion. The contract our agent presented has our (sellers) agent getting a 6% commission and a 2.5% for the Buyer's Agent. I thought anything less then a 50% split  (=3% in this case) would be disincentive for buyers agents. However our agent says that this % is very standard. "Some do 3% (of a 6% commission)- I've even had deals that were 2% ".  Are my concerns legit? that anything less then 50% split will be a disincentive? 

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17,434
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30,084
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Russell Brazil
  • Real Estate Agent
  • Washington, D.C.
30,084
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17,434
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Russell Brazil
  • Real Estate Agent
  • Washington, D.C.
ModeratorReplied

I regularly do not split my commissions equally when Im on the listing side....but I also often have large costs not nessecarily apparent to everyone. I got a listing coming up that's going to cost me $5-7k in marketing/staging and where I also owe a $15k referral fee on.

There's other times though if I got a hard to sell listing, I up the buyer agents commission or offer a bonua and theyll make more than me.

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